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Seòmar agus comataidhean

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 5 May 2021
  6. Current session: 12 May 2021 to 19 April 2025
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Displaying 2013 contributions

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Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

It is about contractors—not so much the individuals concerned, but the subcontractor organisations. Did the chief financial officer’s review that we have just discussed include the subcontracts for the various suppliers that came in to do work?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

Okay. I am sure that I will have the opportunity to take that point further in the future. Thank you for answering my questions on those areas.

I have some questions about public sector pay policy and exit packages. Colin Beattie asked about the previous chief executive’s exit package. As the section 22 report touches on, there were a couple of pay-offs that did not go through the correct procedures.

The report says that, although

“FMPG is not required to comply with public sector pay and conditions”,

there is an expectation that it

“will align with the principles of public sector pay policy.”

Can you provide further detail on what the implications are if FMPG does not ensure that it is complying with the framework agreement and the relevant sections of the SPFM?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

Did Ferguson’s seek approval from the Scottish Government?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

I probably know the answer to my next question. In undertaking your audit work, you will be in the office at the yard to look at the facts and figures and at the information that is presented. Do you ever go to talk to the folk on the shop floor to gain knowledge and understanding from them, too?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

That is helpful. We have discussed the requirements of the Scottish public finance manual, the £95,000 threshold and the internal mechanisms at the yard. Were the settlement agreements for the 21 individuals who left in 2023-24 all signed off by the board or would that have been an operational matter?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

Clearly, you will know the quantum for each of the two packages that the Scottish Government did not provide the guarantee for. Can you share that information with the committee?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

Are you content with the work that has been undertaken in that regard, and in particular that on the larger contract organisations?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

I do not think that that actually answers the question. I am looking for a specific figure with regard to the financial loss that the yard had to deal with because of the work that it undertook for BAE.

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

That is fine.

My second brief question is in relation to Colin Beattie’s questions on board meetings and governance. The board meets only six times a year. Bearing in mind the challenges that have been well documented by you and others, is six times a year enough for a board to get on top of all the challenges and risks that it faces?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Stuart McMillan

Sure—it is paragraph 25 on page 15 of the main report.